Independent agency TFM Digital gathered brand marketers across hospitality and retail in Sydney for a two-hour 'From Seed to Scale' session on hyperlocal marketing strategies, the role of AI and exponential audience segmentation.
The discussion focused on the cost of living crisis, further media fragmentation and a continued shift in consumer behaviour, and how brand budgets are under increasing scrutiny to outperform.
It was the first in TFM's Breakfast Series. A second Sydney date has been added for April 23 before the roadshow heads to Melbourne later in the month, finishing in Brisbane in May.
“Many retailers are doing it tough right now, so for me, we’re sharing our knowledge and insights with the hope that these hyperlocal and AI strategies can improve business for retailers across Australia,” said Taylor Fielding, CEO of TFM Digital.
“We’re looking to inspire more retailers to think differently about their approach to local area marketing, with the hope that we see less doors shut this year."
The session covered the conversion journey, which is no longer linear, with media influencing all stages of consumer decision cycles.
TFM presented data from the past nine months showing programmatic advertising had an increasingly important role in building audiences and widening the sampling net.
Audiences required six exposures to an offer before converting, with the best performing journeys featuring three to four instances of programmatic advertising on average.
"Programmatic is vital for helping to build better audiences for your campaign. A channel is no longer responsible for one stage of the buying journey. It's about who you exclude to ensure budget isn't wasted on the wrong audience when retargeting later," said Fielding.
"It's the brands that prioritise hyperlocal strategies with a greater urgency, that will be best positioned to benefit from shifting consumer behaviours," said Fielding.
TFM also shared data showing a 20-30% lift when hyperlocal marketing was used, a shopping local demand increase with two in three shoppers valuing it more than three years ago, and 54% feeling more connected to their neighbourhood than five years ago.
The physical store remains the preferred channel across the majority of categories, with 95% of Australians shopping in-store over the past three months, compared with 82% online.
"It's easier than ever for complacency across digital advertising platforms, believing that the grunt work of sampling audiences can be left to the likes of Meta and Google," said Fielding.
"But over the past 12 months, our research has proven the benefits for campaigns, when audience groups are diverse to start, relying on digital platforms for the retargeting and conversion, later in the campaign."
Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au
Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.